WADSWORTH, Ohio — S&P Global Ratings has revised the financial outlook for Wadsworth City Schools from stable to negative after voters rejected a proposed earned income tax levy in May, citing concerns about the district’s ability to maintain reserves amid growing budget deficits.
The credit rating agency on Thursday affirmed the district’s AA- long-term rating on its general obligation debt but downgraded its outlook, signaling a one-in-three chance the rating could be downgraded within the next year.
The outlook change follows voters’ rejection of a 1.5% earned income tax levy in the May 5 primary election. District officials said the measure would have generated about $13 million annually…